Tata to sell loss-making UK business

Tata Steel has announced it plans to sell its loss-making UK business.

The IPPR has revealed that more than 40,000 jobs could be lost if a buyer is not found. It says that 15,000 people are employed by Tata, and it has calculated that 25,000 jobs in the supply chain could also be affected by Tata’s plans.

Of the 15,000 employed directly by Tata, 4,000 of these work at Port Talbot. Tata are said to have rejected a turnaround plan for Port Talbot, instead choosing to sell of all of the UK business. Anna Soubry, UK business minister, told the BBC that the government is considering ‘all options’ for the South Wales steel plant. Other plants that will be affected include Rotherham, Corby and Shotton.

The Guardian has reported that Jeremy Corbyn has urged David Cameron to recall Parliament to discuss the crisis.

Adrian Adair, operations director of Morson Group, commented, “The news of Tata Steel and the local community and families that will be affected by this is very sad and a situation that Morson empathises with. Morson would like to invite those involved in this to look at the opportunities available with us and consider their transferable skill set. Morson have recently helped those who lost their jobs working in the oil and gas industry and transferred these people into the rail sector. We’ve also successfully transferred people from military into civilian life in a number of industries. For those who would like to discuss their options, Morson are on hand for help and advice on where they are and where they would like to be.”

Stephen Cheyne, engineering division manager at Scantec, said, “While Tata Steel’s plans to sell its UK assets make this a worrying time for the thousands of British steel workers at risk of losing their jobs, it’s important to remember that the British steel industry is not alone in facing such uncertainty.

“The oil and gas industry has also seen a huge downturn with the price of oil, still at only $27 a barrel, having a dramatic impact on the sector, causing huge job losses. Many of those affected however are in demand in other sectors and we have placed hundreds of candidates from oil and gas into other industries where there is a demand for skilled workers, such as the nuclear and water sectors.

“These same opportunities, and many more, are available to skilled workers from the steel industry. A skilled professional, particularly those with strong engineering and technical backgrounds, have vital transferrable skills that will be in demand by UK employers.”